How EPCIS 2.0 and the CBV Improve Supply Chain Transparency
As businesses and industries grow, so do the complexities of their supply chains. Supply chains have come a long way from the traditional handshake agreements of the past. Today’s supply chains involve multiple tiers of suppliers, third-party vendors, and logistics providers, creating a complex web of interactions that are often hard to manage, track and monitor.
The rise of globalization and e-commerce has only added to these complexities, as companies struggle to meet growing demands for faster and more efficient shipping and delivery. With growing consumer awareness and concerns over sustainability and fair labor practices, businesses are under more pressure than ever to not only ensure the quality of their products but also provide transparency at every stage of the supply chain.
The solution to these challenges is not just better processes, but also better technology. In the world of supply chain management, two significant advances are EPCIS 2.0 and CBV (Core Business Vocabulary). Together, these technologies are improving supply chain transparency to meet the demands of a more connected and conscientious world.
What is EPCIS 2.0?
Before we look at how EPCIS 2.0 and CBV improve supply chain transparency, let's review what EPCIS 2.0 is.
EPCIS stands for the Electronic Product Code Information Services, and it is a global standard for sharing real-time visibility of the movement of goods throughout the supply chain in a structured format. EPCIS enables end-to-end traceability, and it allows trading partners to view the entire life cycle of a product from raw materials to the end consumer.
The first version of EPCIS was released in 2007 by GS1, an organization that develops and maintains supply chain standards. EPCIS 2.0 is the latest version of the standard, which was released in 2015.
EPCIS 2.0 offers several advantages over its predecessor, including improved flexibility, which makes it more adaptable to various industry use cases, and better scalability, enabling the exchange of data across multiple supply chains.
What is CBV?
CBV (Core Business Vocabulary) is a standard data model for supply chain management. The model provides an easy-to-use vocabulary for data exchange between system components and information systems. It offers a shared model to support supply chain operations, including visibility, analytics, and data exchange across trading partners.
CBV is designed to be used in association with EPCIS 2.0, to standardize data and facilitate interoperability between the systems that manage supply chain information. The standard provides predefined information models, called Core Business Documents (CBDs), providing standardized messages for exchange between trading partners, which allows better communication, coordination, and transparency among partners.
How EPCIS 2.0 and CBV Improve Supply Chain Transparency
The combination of EPCIS 2.0 and CBV solves many of the challenges faced by supply chains today. Here's how they work together to improve supply chain transparency:
1. End-to-End Visibility
EPCIS 2.0 enables the tracking of products throughout the entire supply chain, from raw materials to the end consumer. This tracking is made possible by RFID (Radio-Frequency Identification) tags and barcodes that are attached to the product packaging. These tags and barcodes contain information about the product, including its origin, manufacturing process, and distribution.
The information collected by EPCIS can be used to determine the status of each product in real-time. This real-time visibility makes it easier for supply chain managers to anticipate and mitigate disruptions and to identify and resolve issues quickly.
2. Improved Traceability
The combination of EPCIS 2.0 and CBV enables real-time visibility into the entire supply chain. This visibility enables end-to-end traceability of products, which is essential for compliance with regulations, recalls, and investigations.
Suppose, for example, a product is found to be defective. In that case, EPCIS 2.0 can identify precisely where in the supply chain the defect occurred, allowing the manufacturer to act quickly to contain the issue.
3. Better Collaboration
EPCIS 2.0 and CBV provide a standard framework for data exchange between supply chain partners. This standard simplifies communications and improves collaboration between partners along the supply chain.
The ability to communicate in real-time using EPCIS and CBV can help resolve issues before they become major problems. In addition, the shared language of CBV makes it easier for businesses to exchange information, eliminating many of the barriers that exist between partners.
4. Increased Efficiency
EPCIS 2.0 and CBV help improve supply chain efficiency by reducing the time and resources required to track and manage products. The real-time visibility provided by EPCIS helps businesses optimize their operations, resulting in cost savings and faster delivery times.
In addition, the shared data model used by CBV eliminates the need for businesses to spend time and resources designing custom interfaces for each of their trading partners. This standardization translates to faster, more efficient communication and better coordination between partners.
5. Enhanced Sustainability
Finally, EPCIS 2.0 and CBV can help businesses improve their sustainability by providing insight into the environmental and social impacts of their products. This insight facilitates the adoption of sustainable practices, such as carbon footprint reduction, ethical sourcing, and responsible manufacturing.
By providing transparency into these issues, businesses can identify areas where they need to improve and take action to minimize their environmental and social impact.
Conclusion
EPCIS 2.0 and CBV are two significant advancements in the world of supply chain management. Together they offer a unified standard for data exchange, improving collaboration, and real-time visibility throughout the entire supply chain.
The benefits of this new technology are clear: increased transparency, enhanced traceability, better collaboration, increased efficiency, and improved sustainability. By adopting these standards, businesses can stay ahead of the curve and meet the challenges of today's complex supply chains.